Just when you thought that the economic forecast had brightened, multiple storm fronts have appeared that may bring the good times to an end.
If you are selling in California, you must factor in the drought when evaluating a new or existing customer. Drive through the Central Valley and notice the deserted farms and dairies. Those lucky enough to be located on top of a water supply must pay huge fuel costs to pump the water. Many fields previously growing fruits and vegetables are now dry patches of dirt. As agriculture goes, so does California’s economy, and this is major concern if a solution is not found.
If you are selling nationally, how have the winters blizzards affected the ability of consumers to go out and visit retailers? How has the construction industry dealt with the frigid weather in the South and can businesses operate normally with the weather conditions the Mid-West has experienced the last 3 months? You have to keep affects of the weather on your radar to stay on top of your accounts.
Luckily, you belong to an industry credit group with an alert system that works like “credit radar” providing you instant notifications when your customers have payment problems. You participate in meetings/conference calls where the latest information is available and best practices are exchanged. You have the ability to poll other companies about their experiences with a customer through RFIs.
Your company has a tool that gives you a decided advantage over companies not participating in a group. If you utilize this resource, you and your company can weather any storm.
Thank you for your continued allegiance to CMA this year and have a great April.
Supervisor-Industry Credit Groups